How PSEi member stocks performed — January 31, 2020
Here’s a quick glance at how PSEi stocks fared on Friday, January 31, 2020.
Labor inspections resume this month
THE Department of Labor and Employment (DoLE) said it will resume labor inspections this month, covering company compliance with labor law and workplace safety standards.
DoLE said Sunday that it issued Administrative Order No. 27, Series of 2020 directing all regional offices to resume labor inspections in their jurisdictions.
“The labor law compliance officers (LLCOs) who will conduct the inspections are tasked to ensure the compliance of private companies on general labor standards, such as proper payment of wages during holidays, overtime pay, implementation of the minimum wage law, remittance of social benefits of their workers, and others. Also subject to inspection is the compliance of companies to health and safety standards,” DoLE said.
There are nearly a million private establishments across the country, of which the DoLE inspected 57,514 last year and 34,263 businesses the year before.
Labor inspections were suspended in December in preparation for this year’s inspections. The only inspection processes that were not suspended were those dealing with occupational safety and health standards (OSHS), technical safety, complaints, and other tasks directly assigned by the Labor Secretary. — Gillian M. Cortez
POGOs to be taxed at 30% under new Senate bill
A MEASURE proposing a 30% tax rate on the Philippine Offshore Gaming Operator (POGO) industry has been filed at the Senate.
Senate President Pro Tempore Ralph G. Recto, in Senate Bill No. 1295,said the tax rate will apply to “the taxable income derived in the preceding taxable year from all sources within and without the Philippines.”
The proposed law covers Philippine-based operators, and local gaming agents and service providers.
Mr. Recto said the tax regime aims to address the confusion on whether POGOs should be taxed. In the bill’s explanatory note, he said the amendment to the national tax code is “necessary to remove any doubt and avoid the confusion whether or not POGOs are taxable in our jurisdiction.”
The Office of the Solicitor General has clarified that foreign-based POGO firms are not covered by local taxes. In Mr. Recto’s version, he also proposed to levy an income tax rate worth 30% of the gross income of foreign-based POGOs
The bill provides for a 5% franchise tax on gross receipts, already enforced under Revenue Memorandum Circular No. 102-2017.
Currently, POGOs must pay a 5% franchise tax, collected in lieu of all kinds of taxes; normal income tax, value-added tax and other taxes on other related services income from non-gaming operations, among others.
Senator Pia S. Cayetano, who chairs the Ways and Means Committee, said she is open to measures that will tax the POGO industry.
“If you’re doing business in the Philippines, dapat mata-tax ka (you need to be taxable),” Ms. Cayetano said in a briefing Tuesday.
“Like anything else basta sakop ng trabaho ko (within my area of responsibility) I always have an open mind; (but) taxing them in what sense?”
A counterpart measure, House Bill No. 5777, has been approved by the House Committee on Ways and Means and is currently awaiting plenary action.
The House version sought to impose an income tax on foreign nationals working in offshore gaming firms, amounting to 25% of the salaries, wages, compensation and other fees. It also carries a 5% franchise tax on gross revenue or receipts.
The POGO industry will be investigated at the Senate this week with the Committee on Labor, Employment and Human Resources Development looking into the influx of unregistered foreign workers.
The Tuesday hearing will also tackle the industry’s failure to remit taxes to the Bureau of Internal Revenue and threats to national security. — Charmaine A. Tadalan
China to inject $174 billion of liquidity on Feb. 3 as markets reopen
SHANGHAI — China’s central bank said it will inject 1.2 trillion yuan ($173.8 billion) worth of liquidity into the markets via reverse repo operations on Monday, as the country prepares to reopen its stock markets amid a new coronavirus outbreak.
China’s authorities have pledged to use various monetary policy tools to ensure liquidity remains reasonably ample and to support firms affected by the virus epidemic, which has so far claimed 305 lives, all but one in China.
The People’s Bank of China made the announcement in a statement published on its website on Sunday, adding the total liquidity in the banking system will be 900 billion yuan higher than the same period in 2019 after the injection.
According to Reuters calculations based on official central bank data, 1.05 trillion yuan worth of reverse repos are set to mature on Monday, meaning that 150 billion yuan in net cash will be injected.
Investors are bracing for a volatile session in Chinese markets when onshore trades resume on Monday after a break for the Lunar New Year which was extended by the government.
China’s stock, currency and bond markets have all been closed since Jan. 23 and had been due to re-open last Friday.
There will be no further delays to the reopening, the country’s securities market regulator said in an interview published by the state-backed People’s Daily newspaper on Sunday.
The China Securities Regulatory Commission (CSRC) said it had taken the decision after balancing various factors, and believed the outbreak’s impact on the market would be “short term.”
To support firms affected by the epidemic, the CSRC said companies that had expiring stock pledge agreements could apply for extensions with securities firms, and it would urge corporate bond investors to extend the maturity dates of debt.
The CSRC is also considering launching hedging tools for the A-share market to help alleviate market panic and will suspend evening sessions of futures trading starting from Monday, it said.
“We believe that the successive introduction and implementation of policy measures will play a better role in improving market expectations and preventing irrational behavior,” it told the People’s Daily.
China is facing mounting isolation as other countries introduce travel curbs, airlines suspend flights and governments evacuate their citizens, risking worsening a slowdown in the world’s second-largest economy.
On Sunday, the Philippines reported the growing epidemic of a coronavirus has claimed its first fatality outside of China, where new confirmed infections jumped by a daily record to top 14,000 cases. — Reuters
Bill seeking insurance for builders sent to TWG
THE HOUSE Committee on Labor and Employment has ordered the creation of a technical working group (TWG) to draft the final version of House Bill 2479, which seeks to make insurance coverage mandatory for all construction workers.’
“Right after my sponsorship of House Bill 2479 in the committee, the chairman immediately moved for the creation of a TWG and no one objected. Kaya talagang nagpapasalamat ako sa mga kasamahan ko sa pagsuporta sa aking panukalang batas (I thank my colleagues for their support for the bill). And I am hopeful my bill will be discussed and passed on third and final reading in the soonest time possible,” Construction Workers Solidarity (CWS) Party List Representative Romeo S. Momo, who is also the senior vice chairman of the House Committee on Public Works and Highways, said in a statement Sunday.
Under the bill, a contractor who employs at least 10 construction workers must provide for “mandatory group personal accident insurance coverage.”
“The duration of the insurance shall start from the commencement of the service of the construction worker until the completion of the construction project or upon termination of the employment contract,” according to the bill.
The coverage calls for a payout of P100,000 in case of death, and a burial benefit of P30,000 payable to beneficiaries within 48 hours after death.
In the event of total and permanent disability, a construction worker will be entitled to P75,000 for disabilities incurred at the construction site or while performing work-related tasks.
A construction worker granted the Total Permanent Disability benefit who later dies within two years of the onset of total and permanent disability will be eligible for death and burial benefits for his beneficiaries.
The measure also seeks insurance coverage for the construction worker’s hospitalization fees and injuries resulting from accidents over the course of the employment contract.
The bill also proposes that violators be fined between P200,000 and P300,000 for first offenses, with subsequent violations warranting one to six years of imprisonment and a maximum fine of P500,000, or both, at the discretion of the court.
“In this way, a speedy and efficient delivery of service to compensate for any injury, disability or death arising from any job-related accident or illness suffered during the course of employment may be given to construction workers.” Mr. Momo said.
A similar House bill was filed by then Valenzuela Rep. Sherwin T. Gatchalian during the 16th Congress but failed to pass into law. — Genshen L. Espedido
House agri-tourism bill calls for DA, DTI assistance to farmers
A LEGISLATOR has filed a bill seeking to promote agri-tourism by providing technical and marketing assistance to farmers and local governments.
Quezon City Representative Alfred D. Vargas filed House Bill 6046 on Jan. 23, which if passed, will be known as Agri-Tourism Promotion Act.
Under the bill, the Department of Agriculture (DA) and the Department of Trade and Industry (DTI) will provide marketing advice, technical expertise, promotional support and product development related to agri-tourism to assist the Department of Tourism (DoT).
Tax credits will also be provided to farmers engaged in agri-tourism operators to “make up for costs of going into the agri-tourism business and to provide incentives to interested entities.”
The tax credit will cover 20% of the agri-tourism liability insurance, not exceeding P50,000 in any tax year.
Agri-tourism involves any agriculture-based operation or activity that brings visitors to a farm or ranch for “outdoor activities, education, shopping, dining or even lodging,” according to the Development Bank of the Philippines.
“The agri-tourism philosophy aims to improve the income of our farmers and promote the quality of living in rural areas. Agri-tourism also contributes to the alleviation of poverty and decongestion of urban areas as it creates employment and revenue opportunities for the rural community,” Mr. Vargas said in the bill’s explanatory note.
“In addition to these, the promotion of agri-tourism may also contribute to the improvement of other industry sectors like food and beverage, transport infrastructure, and hospitality,” he added. — Genshen L. Espedido
Life insurers expect double-digit growth on digital push in 2020
THE LIFE insurance industry is projecting double-digit growth this year amid moves to reach untapped markets via digitization and a push for greater financial literacy.
Philippine Life Insurance Association (PLIA) President Benedict C. Sison said the industry will focus on addressing the lack of financial literacy on the market in order to reach the underserved.
“Second would be digitalization (which) will allow us to reach untapped client segments. It’s underpenetrated, so sometimes you have to use digital to reach untapped client segments,” Mr. Sison told reporters on the sidelines of a PLIA event Thursday.
“I couldn’t give an exact number but I think double-digit growth for 2020 (for the life insurance sector),” Mr. Sison added.
According to the Insurance Commission (IC), the overall indurance industry’s premium income was P224.97 billion in the nine months to September, up 2.76% year-on-year. The life insurance sector accounted for P172.05 billion of net premiums, while the nonlife sector accounted for P44.02 billion.
With greater financial literacy and wider reach through technology, Mr. Sison said the industry stands to raise its penetration rate, which is currently below 2%.
“We’re such an underpenetrated market. So there’s really huge opportunity. We’re really very positive about this,” he said, “We hope to be able to increase the penetration rate.”
IC estimates that the industry accounts for about 1.69% of the economy.
Premiums per capita rose 1.16% year-on-year to P2,077.30.
Insurance Commissioner Dennis B. Funa has said the regulator is expecting “steady” growth for the industry this year. — Beatrice M. Laforga
Transfer pricing and tax avoidance: What does the CITIRA bill say?
Government investment promotion agencies offer tax incentives to attract investors. Many companies, especially those in priority and emerging sectors, benefit from such incentives in the course of doing business. In some cases, companies engage in related-party transactions, such as transactions between a parent company and a subsidiary, or between affiliates. However, according to a Department of Finance (DoF) and Bureau of Internal Revenue (BIR) analysis, such practices may give rise to abusive transfer pricing schemes, deemed to cost the Government billions in lost revenue each year.
Specifically, the DoF identifies transfer pricing abuses to include the corporate practice of shifting profits from a high-tax country to tax havens, as well shifting profits from a corporate taxpayer to its related party located in special economic zones. Because of such practices, the DoF is pushing for the legislative approval of the Comprehensive Tax Reform Program (CTRP), which will prevent income from being shifted among related parties through the inappropriate pricing of related party transactions.
Under Section 50 of the Tax Code (the Philippine Transfer Pricing provision), the Commissioner of Internal Revenue has the authority to review controlled transactions among associated enterprises and distribute, apportion or allocate their income and deductions to reflect the true taxable income of such enterprises.
In the 17th Congress, a bill was introduced which included a proposal to amend Section 50 of the Tax Code under the current administration’s Tax Reform for Attracting Better and High-Quality Opportunities (formerly known as the TRABAHO Bill or the then CTRP Package 2). The TRABAHO Bill was approved on third reading by the House of Representatives but was not passed by the Senate in the 17th Congress.
The TRABAHO Bill has since been renamed the Corporate Income Tax and Incentives Rationalization Act (the CITIRA Bill or the now CTRP Package 2). The CITIRA Bill has been re-filed in the 18th Congress to pursue, among others, the amendment of Section 50. As of this writing, the CITIRA Bill has been approved on third reading by the House of Representatives and has been endorsed to the Senate for its consideration and approval.
FINE LINE BETWEEN TAX AVOIDANCE AND EVASION
The proposed amendment to the current transfer pricing provision emphasizes the prevention of tax avoidance. The proposed amendment defines tax avoidance for purposes of transfer pricing.
Corporate taxpayers often weigh their options when planning to implement their business transactions. In doing so, they may resort to tax avoidance strategies to reduce the amount of tax payable. Tax avoidance per se is not illegal. On the other hand, the intentional and deliberate non-payment of taxes, in an attempt to reduce or eliminate a taxpayer’s liability, is called tax evasion, which is illegal.
An Organization for Economic Cooperation and Development (OECD) Economics Department working paper by Johansson, Skeie and Sorbe reported that all G20 and OECD member countries have implemented transfer pricing rules to prevent related-party taxpayers from manipulating the price of their transactions for tax purposes. Some of these member-countries have anti-avoidance rules against international tax planning by multinational enterprises. The general anti-avoidance rules prohibit an aggressive approach to tax avoidance, with a common thread of adherence to the principle of substance over form. Tax benefits may not be availed of when a related-party transaction lacks economic substance or has no reasonable commercial purpose.
The anti-avoidance rules of the G20 and OECD member countries are generally designed to achieve the following goals: identification of such a scheme or arrangement; quantification of the actual tax benefit or advantage gained from the scheme; and performance of a test to assess if the company gains a clear tax advantage through the scheme. It should be noted, however, that there are differences in the rules for various countries.
STRENGTHENING THE TRANSFER PRICING PROVISION
The CITIRA Bill proposes that the time is ripe for the Philippines to adopt similar anti-avoidance rules to counteract the potential abuse of tax incentives by corporate taxpayers. From a current Philippine tax perspective, the BIR may impose an adjustment to transfer prices affecting the recognition of income or expenses of taxpayers based on its industry-specific arm’s length standards. This imposition may result in deficiency taxes and even possible interest and penalties to be assessed against the taxpayer.
With the proposed transfer pricing amendment to Section 50 of the Tax Code, the CITIRA Bill will vest the Commissioner of Internal Revenue with dual roles: first, to distribute, apportion, allocate, and impute income and deductions; and second, to disregard and counteract tax avoidance arrangements necessary to clearly reflect the income of a corporate taxpayer. The CITIRA Bill also aims to empower the Commissioner to consider the transaction or arrangement as void for income tax purposes.
Under the proposed amendment, tax avoidance will become more clearly defined to include actions that directly or indirectly alter either the incidence of any income tax, or relieve, avoid, postpone, or reduce any liability to pay current or future income tax. Companies with transfer pricing arrangements should note that tax avoidance is presumed to exist in situations where the transaction or arrangement can be proven to be motivated by obtaining a tax benefit or advantage with no commercial reality or economic benefit.
CONSIDERING TRANSFER PRICING RISKS
If and when the proposed amendment to Section 50 of the Tax Code passes into law, we can expect the BIR to take an aggressive approach to transfer pricing. Philippine companies with related-party transactions will have to increase vigilance to potential transfer pricing issues that may have a significant impact on reporting its taxable income. Given the current administration’s drive for tax reform, the passage of the CITIRA Bill into law will further intensify the need for taxpayers to include transfer pricing as a significant part of their tax planning and risk management strategies.
This article is for general information only and is not a substitute for professional advice where the facts and circumstances warrant. The views and opinion expressed above are those of the author and do not necessarily represent the views of SGV & Co.
Ana Katrina C. Celis-De Jesus is a Tax Senior Director of SGV & Co.
Eala boosts stock with strong 2020 Australian Open outing
By Michael Angelo S. Murillo
Senior Reporter
FILIPINO teen tennis sensation Alexandra Eala boosted her stock in the juniors circuit after a productive and successful outing in the 2020 Australian Open, capped by winning the girls doubles title with Indonesian partner Priska Nugroho on Friday.
In the latest ranking of the International Tennis Federation (ITF), Eala, 14, climbed to number eight in the girls’ rankings, her highest to date.
Eala and Nugroho defeated the European tandem of Matilda Mutavdzic of Britain and Ziva Falkner of Slovenia, 6-1 6-2, in Melbourne.
It was a culmination of an impressive roll for the doubles tandem where they more than proved that they belonged in the tournament, overcoming each hurdle placed in front of them in convincing fashion.
Eala also made a strong push in the singles competition, reaching the third round before losing to Hong Yi Cody Wong of Hong Kong, 6-1 6-3.
Entering 2020, Eala, a product of the Rafa Nadal Academy, was on a steady ascent.
She finished the 2018 season ranked 248th in the world, before jumping to a then-career best 13th spot last October.
Eala then pressed further to the top 10 after winning the title in the Orange Bowl doubles tournament in Florida last December to come within a spot of breaking the elite Top 10 best players of the world.
Prior to the 2020 Australian Open, she cracked the top 10 at number nine to earn a spot in the main draw of the tournament.
With the win, Eala, a Globe Telecom ambassador, made history, becoming the first Filipina to win a grand slam title be it in juniors or seniors play.
It also sustained her push in top-tier competitions after debuting in a grand slam at the US Open last year.
Eala joined Francis Casey Alcantara as the Filipinos to win at the Australian Open.
Alcantara partnered with Hsieh Chen-peng of Chinese Taipei in 2009 to win the boys doubles title.
Eala thanked tennis partner Nugroho after for being a solid tandem in the tournament even as she vowed to continue working as her career moves on.
Kenin calls nervous mom: ‘Hello, I won, you can relax now’
MELBOURNE — Sofia Kenin shed a few tears and needed to find a way to keep her emotions in check during an epic final against Garbine Muguruza, but soon after lifting her first Grand Slam title the American had to rush to calm someone else down — her mother.
Kenin counter-punched her way back from a set down against Muguruza to win her first major at the Australian Open with a 4-6 6-2 6-2 win on Saturday.
The 21-year-old was almost reduced to tears in the third set and even threw her racquet away in frustration at some of her shots.
“I felt that in the third set, I felt like I was getting closer to the title, something that I really want,” she said after toasting her win with a glass of champagne.
“I knew I needed to somehow try and relax, just try to calm down.”
Eventually she found a way to do that, as twice Grand Slam champion Muguruza wilted in the latter stages.
But Kenin still had one more worry: her mother, who gets so nervous she finds it hard to watch her daughter play.
“I called her right after the match just to tell her that everything’s fine, I won, she can just relax now,” she said, before bursting into laughter.
“She’s been really stressed at home, very superstitious. She’s just really happy. I told her I’m not going to be able to talk to you for hours, but at least you know that I won. I’m coming home, you can give me the biggest hug of your life.
“My mom cannot watch me. I can see she’s still nervous. She doesn’t like watching. It’s fine.”
Kenin, who had to dig herself out of trouble on numerous occasions during the match, said she considered the fifth game of the last set to be the turning point, when she painted the sidelines with three scorching winners and produced an ace to hold her serve for 3-2 from 0-40 down.
“I can remember that game very well, yes. That’s the game I feel like changed things,” she said, adding that next on her agenda was a trip to the Cartier store in Melbourne to buy herself a ring and nail bracelet.
“I had to play some best tennis. I did. After that, I was on fire. I was ready to take the beautiful trophy.”
Kenin will become the world number seven when the WTA rankings are released on Monday which will move her past idol Serena Williams as America’s top player.
“It hasn’t sunk in yet. Everything is just still a blur for me. I just can’t believe what happened,” said the Moscow-born Kenin, whose parents are Russian immigrants. “It’s just great. I feel like I’m doing some great things for American tennis. It’s such an honour.
“I’ve watched Serena. I’ve been following her, all the slams she’s been winning. It’s a special feeling just to be ahead of her. I’m just super excited. I can’t wait to compete, be on the same team with her in Fed Cup.”
COMEBACK KID
Sofia Kenin showed grit and combativeness on the way to her maiden Grand Slam title on Saturday, as the 21-year-old American fought her way back from a set down to beat Spain’s Garbine Muguruza in the Australian Open final.
Kenin may not have the strength or build of her Spanish opponent, but what she lacked in power she made up for in willpower as she took down double Grand Slam winner Muguruza 4-6 6-2 6-2.
Born in Moscow to Russian immigrant parents, the 14th seed became the youngest American since Serena Williams in 2002 to win a major, with Muguruza double faulting on Kenin’s second match point to end an engrossing contest of over two hours.
“I just want to say my dream has officially come true. If you have a dream, go for it, because it can come true,” Kenin said after lifting the Daphne Akhurst Memorial Cup.
“I feel like mental toughness has been a huge part. I’ve worked on that over the course of the years. It’s just paying off.”
On a wet and cold evening, Kenin and Muguruza produced a fitting and intense final under the closed roofs of a packed Rod Laver Arena.
Muguruza had arrived in Melbourne suffering from a virus that forced her to quit the Hobart International, but the Spaniard was soon back to playing to her strength which helped her reach the top of the women’s rankings in 2017.
Some of the inconsistency that led to her slipping to 36th in the rankings last year resurfaced against Kenin, however, as the Spaniard blew hot and cold with her serve, getting 57% of first serves in while mixing nine aces with eight double faults.
The 26-year-old former Wimbledon and French Open winner, who was playing her fourth Grand Slam final, hit four winners more than her opponent but that came at the price of almost double the number of unforced errors.
Kenin, who had never advanced beyond the fourth round at a Grand Slam before this match, was definitely not short on confidence, however.
The American tied world number one Ash Barty for hard-court wins (38) in 2019 when she won three singles titles to reach a career-high world ranking of 12th.
She defeated Muguruza in their only previous career meeting, in Beijing last year, and came to Saturday’s contest with a game plan, mixing deft drop shots with deep forehand groundstrokes to catch the Spaniard by surprise initially.
But Muguruza soon found her range and converted her third breakpoint in the third game to nose ahead in the opening set.
Kenin hung on, and then gave herself a dose of confidence by saving four breakpoints to hold the seventh game.
She was rewarded for her tenacity in the next game and got the break back, but the Spaniard came out firing on all cylinders to break Kenin again and took the opening set when her opponent missed the sideline with a forehand.
Kenin took the court in the second set with renewed vigour, and the power behind her shots visibly went up a notch. She levelled the match with two breaks of Muguruza’s serve.
The intensity rose considerably in the deciding set, with Muguruza slapping her thigh to egg herself on while Kenin was almost reduced to tears of frustration at some of her shots and threw her racquet away a few times.
Down 0-40 in the fifth game and with her back to the wall, Kenin produced arguably her best tennis of the match. She painted the sidelines with three scorching winners and fired in an ace to hold serve for 3-2. She saved 10 out of the 12 breakpoints she faced.
The Spaniard’s serving woes returned to haunt her as Kenin sealed the match with a second break, with the nervous Muguruza serving three double faults in the final game.
“I think I had to play better today because she came up with a great level,” Muguruza said. “I think at the important moments I didn’t find my shots.” — Reuters
Playing it smart pays off for ‘The Passion’ Pacio in ONE Championship strawweight title retention
By Michael Angelo S. Murillo
Senior Reporter
ONE Championship world strawweight champion Joshua “The Passion” Pacio of the Philippines made it a successful title defense by beating Brazilian Alex “Little Rock” Silva at “ONE: Fire & Fury” by split decision on Friday at the Mall of Asia Arena.
It was a victory that the Team Lakay bet credited to sticking to their game plan and playing it smart against a highly capable opponent and former champion like Mr. Silva.
Defending his title for the second time after reclaiming it last year, Mr. Pacio, 24, successfully fended off a determined challenge from his Brazilian opponent.
Mr. Silva, 37, spent most of the contest hunting Mr. Pacio for the takedown, at times successfully pulling the Filipino down to the ground where he held the advantage.
But showing patience and control, Mr. Pacio would hold his own with solid submission defense, and often was able to get back up to his feet.
In the standup, Pacio was also crisp, peppering Silva with pinpoint accurate combinations.
His performance all in all proved to be just enough to earn the decision on the scorecards.
Following his victory, Mr. Pacio, who improved to a 17-3 record, shared that he was aware of the need not to allow Mr. Silva have the leverage he needed to go for the win.
It was a tack that turned out well on his way to the victory.
“I think he was waiting for me to make a mistake. I was mindful of that because a BJJ (Brazilian jiu-jitsu) black belt like Alex would jump at every mistake you make. So I played it safe and smart. Not rushing things and when he caught me in a hold I did not panic, especially when got me on an arm triangle,” Mr. Pacio said.
The Filipino champion went on to say that he was happy with the result but admitted he could have done more and had a convincing victory.
“I need to work more. I didn’t get the finish I was expecting. I will continue to work on my ground game and follow-up striking,” he said.
FOLAYANG FALLS
Meanwhile in the co-main event, Mr. Pacio’s Team Lakay senior Eduard “Landslide” Folayang failed to make it back-to-back wins in ONE, losing to Dutch Peter “The Archangel” Buist by split decision.
A short-notice replacement opponent, Mr. Buist’s length proved problematic early for Mr. Folayang as the latter found it difficult to gauge his opponent’s range.
The second round was huge for Mr. Buist as he found his mark and hurt the Filipino, including a solid head kick as the frame drew to a close.
In the end, two of three judges saw the bout in favor of Mr. Buist (15-4) who took home the split decision for his efforts.
Post-fight, Mr. Folayang (22-8) said he was disappointed with the result as it derailed his push to become a lightweight champion for a third time.
But he took solace in holding on to a split decision result and not losing much ground.
In other results, flyweight Danny Kingad, atomweight Gina Iniong and strawweight Lito Adiwang, all of Team Lakay, were victors while atomweight Jomary Torres saw her match ruled a no-contest after she was hit on the groin twice by opponent Jenny Hwang of Chinese Taipei and could not continue.
ONE: Fire & Fury was the first event of ONE Championship in the country for 2020.
Mighty Sports rules Dubai international cage tourney
MIGHTY Sports Philippines completed a dominant showing in the 2020 Dubai International Basketball Tournament, defeating defending champion Al Riyadi of Lebanon, 92-81, in the finals on Sunday morning at the Shabab al Ahli Sports Club.
The win saw Mighty Sports making history as the first team not from the Middle East to top the competition in its 31-year history.
Former National Basketball Association campaigner and Philippine Basketball Association import Renaldo Balkman led the Philippine club in the title game, finishing with a team-high 25 points to go along with nine boards.
Gilas Pilipinas natural player and ex-NBA-er Andray Blatche also did his part with all-around numbers of 21 points, 10 boards, four assists, and two steals.
The contest was tightly fought all the way to the break where the Charles Tiu-coached squad held just a four-point lead, 46-42.
In the third quarter, Mighty Sports made its pullaway with contributions coming from different directions.
The team outscored Al Riyadi, 28-15 in the frame to hold a 74-57 advantage heading into the fourth quarter.
Al Riyadi tried to make up for lost ground in the payoff quarter but with little success as Mighty Sports just did not relent on its attack on its way booking the historic victory.
Filipino-American Mikey Williams and imports McKenzie Moore and Jelan Kendrick tallied double digits for Mighty Sports with 13, 11 and 10 points, respectively.
Thirdy Ravena finished with six markers.
For Al Riyadi it was Michael Efevberha who showed the way with 26 points and five rebounds, followed by Dwayne Jackson with 20 points.
In last year’s edition of the tournament, Mighty Sports made it to the final four but lost and was relegated to the bronze medal game where it won.
Other members of the champion team were Jamie Malonzo, Beau Belga, Joseph Yeo, Juan and Javi Gomez De Liano, Dave Ildefonso, Isaac Go, Gab Banal, Joaqui Manuel and Jarrell Lim.
Joining Mr. Tiu in the coaching staff were William Voigt, Dean Castaño, TY Tang, and Paolo Layug.
Mighty Sports’ Dubai campaign was backed by Creative Pacific, Go for Gold, Oriental Group, Discovery Primea, and Gatorade. — Michael Angelo S. Murillo